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Social Capital, Livelihood Diversification and Household Resilience to Annual Flood Events in the Vietnamese Mekong River Delta

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Social Capital, Livelihood Diversification and Household Resilience to Annual Flood Events in the Vietnamese Mekong River Delta SOCIAL CAPITAL, LIVELIHOOD DIVERSIFICATION AND HOUSEHOLD RESILIENCE TO ANNUAL FLOOD EVENTS IN THE VIETNAMESE MEKONG RIVER DELTA Nguyen Van Kien December, 2011 Comments should be sent to: Mr Nguyen Van Kien, Australian Demographic and Social Research Institute, the Australian National University, Acton 0200, Canberra, ACT, Australia. Tel: +61 2 6125 3800 Fax: +61 2 6125 2992 Email: [email protected] or Department of Soil and Resources Management, Faculty of Agriculture and Natural Resources, An Giang University, Vietnam. Mobile: +84 1673566875 Email: [email protected] The Economy and Environment Program for Southeast Asia (EEPSEA) was established in May 1993 to support research and training in environmental and resource economics. Its objective is to enhance local capacity to undertake the economic analysis of environmental problems and policies. It uses a networking approach, involving courses, meetings, technical support, access to literature and opportunities for comparative research. Member countries are Thailand, Malaysia, Indonesia, the Philippines, Vietnam, Cambodia, Lao PDR, China, and Papua New Guinea. EEPSEA is supported by the International Development Research Centre (IDRC); the Swedish International Development Cooperation Agency (Sida); and the Canadian International Development Agency (CIDA). EEPSEA publications are also available online at http://www.eepsea.org. ACKNOWLEDGEMENTS I would like to greatly thank Dr Hermi Francisco, Director of EEPSEA in Singapore, for kindly giving support and funding to this research project. I would also like to thank Dr David James, Professor of Economics at Sunshine Coast University, and Dr Tran Khanh Nam, lecturer at HCM Economics University, for their useful comments on the final report. I would like to thank my supervisory panel members, Professor Peter McDonal, Professor Helen James, Professor Adrian Hayes and Dr Philip Taylor, at the Australian National University (ANU) for their valuable advice and comments on my PhD thesis at ANU. Finally, I would like to thank my colleagues at An Giang University in Vietnam, who assisted my fieldwork in the Mekong River Delta. TABLE OF CONTENTS EXECUTIVE SUMMARY 1.0 INTRODUCTION 1 1.1 Research Issues 1 1.2 Research Objectives 2 1.3 Research Questions 2 1.4 The Mekong River Delta and Flooding 3 2.0 REVIEW OF LITERATURE 7 2.1 Resilience, Social Capital and Livelihood Adaptation 7 2.2 The Relationship between Livelihood Adaptation and Resilience 7 2.3 Social Capital and Resilience to Environmental Hazards 9 3.0 METHODOLOGY 12 3.1 Selection of Study Sites 12 3.2 Data Collection 13 3.3 Sampling Procedures 14 3.4 Characteristics of the Respondents 15 3.5 Methods of Analysis 17 3.6 Constructing Indexes of Resilience, Livelihood Diversity and Social Capital 18 4.0 RESULTS AND DISCUSSION 30 4.1 Impacts of Different Flood Levels 30 4.2 Resilience Factor One and Socio-economic Variables, Social Capital, 40 and Livelihood Diversity 4.3 Resilience Factor Two and Socio-economic Factors, Social Capital, 41 and Livelihood Adaptation 4.4 Resilience Factor Three and Socio-economic Variables, Social Capital, 42 and Livelihood Diversity 5.0 CONCLUSIONS 45 6.0 POLICY IMPLICATIONS 47 REFERENCES 48 LIST OF TABLES Table 1. Flood characteristics of the MRD 5 Table 2. Impacts of floods on people, housing, crops and public 6 infrastructure in the MRD Table 3. Socio-economic conditions and livelihood activities of the three 13 study sites Table 4. Distribution of types of households across the three study sites 15 Table 5. Respondent (household) characteristics 16 Table 6. Proportion of respondents who answered five-point Likert scale 20 questions (nine items) Table 7. Factor matrix of household resilience, MRD, Vietnam, 2010 21 (five items) Table 8. Factor matrix of social capital (neighbourhood attachment, 23 MRD, 2010, 10 final items) Table 9. Participation in formal groups and associations 24 Table 10. Social networks of respondents, MRD, 2010 25 Table 11. Mean indexes of social capital by the socio-economic conditions 26 of the respondents Table 12. Definition of variables 29 Table 13. The impacts of big floods on household livelihood activities and 33 assets by social group Table 14. Perceived benefits of a big flood to household livelihood 35 activities and assets by social group Table 15. Negative impacts of moderate floods by social group 36 Table 16. Benefits of moderate floods by social group 37 Table 17. Negative impacts of small floods by social group 39 Table 18. Perceived benefits of small floods to household livelihood 40 activities and assets by social group Table 19. Multiple regressions for resilience factor one 41 Table 20. Multiple regressions for resilience factor two 42 Table 21. Multiple regressions for resilience factor three 45 LIST OF FIGURES Figure 1. Map of the Mekong River Delta (Karonen 2008) 3 Figure 2. Water level at Tân Châu Gauging Station, MRD, (1992-2009) 4 Figure 3. The highest water levels during different flood years in the 6 MRD, (1929-2007) Figure 4. Analytical framework for examining the relationship between social capital, livelihood adaptation and household resilience 12 to floods in the MRD Figure 5. Location of the Mekong River Delta and the study sites 13 Figure 6. Relationship between livelihood diversity index and household 27 income quintiles Figure 7. Negative impacts of different flood levels on household 30 livelihoods Figure 8. Perceived benefits of different flood levels 31 Figure 9. Perceived negative impacts of big floods on household 32 livelihoods Figure 10. Perceived benefits of big floods on household livelihoods 34 Figure 11. Perceived negative impacts of moderate floods on household 35 livelihoods Figure 12. Perceived benefits of moderate floods on household 37 livelihoods Figure 13. Perceived negative impacts of small floods on household 38 livelihoods Figure 14. Perceived benefits of small floods on household livelihoods 39 ABBREVIATIONS AusAID Australian Agency for Aid and Development CTU Can Tho University GSOV General Statistical Office of Vietnam IHHD Inverse Herfindahl-Hirschman Index MRC Mekong River Commission MRD Mekong River Delta MSL Mean Sea Level VND Vietnam Dong SOCIAL CAPITAL, LIVELIHOOD DIVERSIFICATION AND HOUSEHOLD RESILIENCE TO ANNUAL FLOOD EVENTS IN THE VIETNAMESE MEKONG RIVER DELTA Nguyen Van Kien EXECUTIVE SUMMARY Floods are a familiar and frequent feature of life in the Vietnamese Mekong River Delta (MRD). Although floods bring hardship to people, they also bring benefits, such as livelihood development. People in the MRD have experienced the impacts of floods for years, however some adapt well to the floods, while others are more vulnerable. Studying resilience to floods is useful as a way of assessing the capacity of rural households to cope with, and benefit from, annual floods. Social capital plays an important role in a household’s ability to access technical information, resources and local knowledge during annual flooding. Livelihood diversity is known to be a vital strategy for coping with the risks of flood damage. However little is known about the effects of social capital and livelihood diversity on household resilience to floods in terms of securing their homes, securing food, and protecting income, as well as learning new flood-based livelihoods. This study explores the relationship between a household’s resilience to floods in the MRD and levels of social capital (neighbourhood attachment, social supportive network, and participation in groups and associations) and livelihood diversification. These different forms of social capital were measured using the Inverse Herfindahl-Hirschman Index (IHHD). Resilience in this context is defined as the ability of households to learn from, cope with, and benefit from, flood events. Household resilience was measured using expected levels of well-being, obtained from a household survey in 2010, using a five-point Likert scale to construct indexes of household resilience. The results from multiple regressions demonstrate that different forms of social capital have different effects on different forms of household resilience. Neighbourhood attachment has statistically significant effects on a household’s ability to secure food, income, and a level of interest in learning new flood-based livelihoods, but it does not have a significant effect on the capacity of households to secure their home. Similarly, the social supportive network index has significant effects on a household’s ability to learn new livelihoods during the flood season, but it does not have a significant effect on household capacity to secure the home, food and income. Besides social capital, the socio-economic condition of households (household income) is shown to have a significant effect on the three resilience factors – capacity to secure homes, secure food and income, and level of interest in learning and engaging in new livelihoods. Rich households are less likely to be interested in learning new livelihoods (negative effect). Rich households often own large areas of land so they are more likely to specialize in rice farming, which takes a break during the flood season. Poor and medium-income households often own less land or are landless, so they have to work harder to secure an income and food in order to survive during the flood season. Other socio-economic variables, such as the gender and age of respondents, have significant effect on the level of interest shown in learning new livelihoods (negative effect). Housing type also has a significant effect on household capacity to secure the home (concrete houses are less vulnerable). Regional flood factors also have a significant effect on the three resilience factors; people in the highest flood-prone region are less likely to be resilient in terms of securing their houses, food and income, but are more likely to learn new ways of living with floods. Surprisingly, the livelihood diversity index has no effect on household resilience to floods in this context. 1.0 INTRODUCTION 1.1 Research Issues Flooding is well-known in Vietnam, especially in the Red River Delta, the Central coastal region and the Mekong River Delta (MRD) (Socialist Republic of Vietnam 2004).
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